On June 17, GMR Group-run Delhi International Airport Ltd. said it had successfully completed the issuance of five-year non-convertible debentures (NCDs) amounting to Rs. 1,000 crore and the same was listed on BSE on June 23, 2022.
In an exchange filing, GMR said that,
"Delhi International Airport Ltd (DIAL), a subsidiary of GMR Airports Ltd and a step-down subsidiary of GMR Infrastructure Ltd (GIL), announced that it had successfully completed the issuance of 5 year Non-Convertible Debentures (NCDs) amounting Rs 10 billion."
The NCDs were priced at an interest rate of 9.52 percent per annum payable monthly for the first 36 months and 9.98 percent per annum, payable monthly thereafter, and qualified investors have purchased them. The proceeds from the notes will be used to finance a portion of the Phase 3A expansion program.
Commenting on the occasion, the corporate chairman of GMR Group, Grandhi Kiran Kumar, said that,
"We are delighted with the successful completion of this transaction. This is DIAL’s first listed transaction in the domestic debt market and the response from the investors was overwhelming."
"The offering through DIAL was subscribed by eligible investors i.e. QIBs. This shows the confidence of investors in our ability to raise funds from the domestic market and reflects our continued effort to create value for our investors. The successful pricing of the offering underscores investors' confidence in GMR Group and credit strength of DIAL."
With a passenger handling capacity of over 189 million per year, GMR is the largest private airport operator in Asia and the second largest in the world. Groupe ADP is a strategic partner of GMR subsidiary GMR Airports, holding a 49 percent stake. It operates India's largest and fastest-growing airport, the renowned Delhi Airport.
Additionally, it operates the Hyderabad airport, an innovative greenfield airport renowned for its technological innovations. In partnership with Megawide, the company also operates the renowned Mactan Cebu International Airport in Cebu, Philippines.
On the BSE, shares of GMR Infrastructure closed at Rs 34.95 up Rs 0.20, or 0.58 percent.